Were appliance-repair services billed to a manufacturer under its warranty taxable after July 1, 1989 under Connecticut Ruling 89-22?

Plain-English summary

Repair and maintenance services performed on or after July 1, 1989 on tangible personal property, including appliances, were subject to tax under this ruling. That included warranty repair labor billed to the manufacturer.

The ruling contrasted the earlier period, when repair and maintenance services were not enumerated taxable services. It also described how third-party parts had been taxed before July 1, 1989.

The official archive marks the ruling obsolete, and its source note says the remainder was superseded by later manufacturer-warranty and extended-warranty guidance published as Ruling 89-152.

What this means for you

The historical holding turned on a July 1, 1989 effective date. It does not establish current treatment, and the archive itself points to later warranty guidance.

Common questions

Were post-July 1 appliance repair services taxable? Yes.

Did the rule include manufacturer-warranty work? Yes, on the described labor billed to the manufacturer.

Is the full ruling still authoritative? No. The official page marks it obsolete and says the remainder was superseded.

Citations and references

• Conn. Gen. Stat. § 12-407(2)(i)(DD), as cited in the ruling.

Source

• Landing page: Connecticut DRS Rulings
• Ruling: Ruling 89-22

Original ruling text

Ruling 89-22, Repairs

This information is not current and is being provided for reference purposes only

Ruling 89-22

Repairs

This Ruling has been obsoleted by  PS 94(2)

You have requested clarification on whether one who repairs an appliance under a manufacturer's warranty and subsequently charges the manufacturer for such labor performed must charge the manufacturer for sales tax on the cost of these repair services.

Prior to July 1, 1989, when repair and maintenance services to tangible personal property were not enumerated services, labor supplied by authorized representatives other than the warrantor, was not subject to sales and use tax. Where a warrantor's (e.g., manufacturer) authorized dealer used a third party in effecting the repair, the third party had to charge tax on the parts to the dealer, who, in turn, could be reimbursed by the warrantor.

Pursuant to section 12-407(2)(i)(DD) of the Connecticut General Statutes, repair and maintenance services performed on or after July 1, 1989 to any item of tangible personal property (which includes appliances) are subject to tax.

LEGAL DIVISION

July 10, 1989

Note: The remainder of this ruling has been superseded by Commissioner Timothy F. Bannon's letter of November 16, 1989 on manufacturer's warranty and extended warranty. Please refer to Ruling 89-152.